Elon Musk’s Billion Dollar Investment in Tesla Boosts Stock 2.4% Tuesday

Tesla stock is tremendously higher now than its was at the start of the month, and some of its gains can be attributed to Elon Musk.

Elon Musk is recommitted to Tesla.

Quick overview

  • Elon Musk has invested $1 billion of his own money into Tesla, boosting investor confidence.
  • Tesla's stock has risen significantly, climbing from $329 to $420 per share amid Musk's renewed commitment.
  • Despite past challenges, including leadership changes and poor sales, Tesla is showing signs of recovery.
  • Musk's return and investment signal a potential turnaround for the company, encouraging investors to consider buying in.

Elon Musk renewed his commitment to his company Tesla as he invested $1 billion of his own money into the company’s stock, sparking considerable investor interest.

Tesla stock is rising as Musk commits more time to the company.
Tesla stock is rising as Musk commits more time to the company.

Stocks trended lower Tuesday than they did Monday as investors worry about the Federal Reserve’s rate decision, but stocks are still elevated, and Tesla is one of the top performers. This stock has been buoyed by CEO Elon Musk’s investment of $1 billion into the company’s stocks.

Musk bought 2.5 million shares, which is currently worth more than $1 billion. The company’s stock climbed more than 4% on Monday and then climbed another 2.43% on Tuesday as the rally continued.

Tesla stock has been climbing all month long, moving from $329 per share to $420 in an incredible rally that was unexpected for what many investors and analysts have thought of as a troubled company. Tesla has had its share of problems in 2025, including the departure of its CEO to work in the government and tremendous social protests from the public against the company and its CEO. They have also experienced poor sales globally even though electric car sales are up overall.

Tesla Turning Around

This electric car company appears to be on the right track now, and that is partly due to its CEO Musk leaving government service to invest more fully into the company. Musk has made his investment more literal with his huge stock purchase, and investor confidence has improved dramatically as a result.

With weeks of upward movement, Tesla is proving the naysayers wrong and showing its potential as a strong investment. Its current stock value is not quite its highest point in the last 12 months, but it is close. With Musk making such a huge commitment to the company, investors may be wise to jump on board now while the stock is still reasonably priced and at a point that we would consider undervalued.

On X, Musk posted that he is fully committed to the company and is working hard to ensure that it succeeds. Tesla has suffered in his absence, experiencing what appeared to be a lack of direction, especially with no new major product release on the horizon. That could change very quickly with Musk now fully back on board and well invested.

 

 

ABOUT THE AUTHOR See More
Timothy St. John
Financial Writer - European & US Desks
Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.

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